Show DANK BANS DEPOSIT GUARANTEES While a 3 level headed man cannot afford alford to tell everything that he is thinking about yet ret there are some things In public matters that thep the tho p people have haTe a right to know and t this his Is particularly true about legis- legis business From time to time both before and nd after atter election I have freely expressed expressed expressed ex ex- pressed my views on state and public pub pub- lie lic matters and generally the public public pub pub- lic lie has agreed with me but in re regard regard regard re- re gard to the proposes proposed Dank bank deposit guarantee law there Is a difference of of both among Democrats and Republicans and and I I am told that I am dead wrong in that matter V VV They say that it isn't right for banks that are badly managed That It puts a premium on Incompetency and dishonesty That Just as well a aV V V successful farmer should help stand J the losses of at his badly managing neighbor farmer There is a good element of soundness soundness soundness sound sound- ness in the objections in the abstract abstract abstract ab ab- and unless there can can be a a. law that will reasonably satisfy these objections then the objections stand A sound man should not be bullheaded bullheaded bullheaded bull- bull headed and hold to opinions that 1 may be unsound because to do otherwise otherwIse otherwise other other- 5 wise might be to admit that he is wrong A sound man should ever be open to reasonable conviction I believe that the laws on the subject in other states are too strong If there be a middle ground where nobody nobody no no- bo body y will be hurt and where there will be substantial benefit without excusing an incompetent banker then the reasoning will not apply so strong V J My notion Is that if there were a fund created by a gradual levy on the deposits In state banks not to exceed perhaps two per cent on deposits de de- T. T posits not to exceed d to protect protect protect pro pro- depositors and that no single bank should receive a benefit in said fund fund to exceed until it had reI replaced laced the money so used by It I with a provision that the defunct bank if it remained In business would have haTe to pay tars money back backlu In lu time then the bad bank would be punished as well as pro protected and andI I the bad banker would nave to get out V t of ot business and if he got out even though the bank failed yet it would be better for banking generally for forthe or the depositors to know that they were protected This fund could al also also also al- al so be placed out at interest and andI I f inter inter- interest each bank get its part of the interI Interest Inter Inter- I est after the fund was full so that It would still belong to the assets of the bank The bank could not well lose I money on this kind of a deal because by creating confidence the people who distrusted banks before would bring their money out of socks holes boles in the ground and other hiding t I Places laces and place it in tho the bank So Sot I t all parties would be t Of the basin f course people people- In have hare no money now but if they get another alfalfa seed crop like the thelast thelast last crop there will be bo a lot of people peo peo- 1 pie le who will have a little spare money This would protect deposItors depositors I tors tore by the present bank reserve by by the capital stock the directors' directors Double t lo able liability plus ten thousand and dollars which would seem to be an ample protection in mo most moat t cases There would be no premium on in inCompetent incompetent incompetent in- in competent bankers and whatever trust might b be reposed by depositors In rural banks would injure nobody because they would be bo protected and tho the incompetent banker banker- would I s soon Boon on be found out L L. A A. H Ho Ho o 0 o |